Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, with the aim of buying high and selling higher, leveraging established price movements for profitable trades [1] Company Overview: Coeur Mining (CDE) - Coeur Mining currently holds a Momentum Style Score of B and a Zacks Rank of 2 (Buy), indicating strong potential for outperformance in the market [2][5] - The stock has seen significant price increases, with shares up 11.11% over the past week and 16.1% over the past quarter, while gaining 178.38% in the last year [3] - The average 20-day trading volume for CDE is 9,760,810 shares, which is considered a bullish indicator when combined with rising stock prices [4] Earnings Outlook - Over the past two months, one earnings estimate for CDE has increased, raising the consensus estimate from $0.08 to $0.11, with two upward revisions for the next fiscal year and no downward revisions [5]

Core Insights - Coeur Mining (CDE) shows potential as a strong investment due to significant revisions in earnings estimates, indicating an improving earnings outlook [1][2] - The positive trend in earnings estimate revisions reflects growing analyst optimism, which is likely to influence the stock price positively [2][3] Current-Quarter Estimate Revisions - The earnings estimate for the current quarter is $0.07 per share, representing a 240% increase from the previous year [4] - Over the last 30 days, one estimate has increased while another has decreased, leading to a 76.47% rise in the Zacks Consensus Estimate [4] Current-Year Estimate Revisions - For the full year, the earnings estimate is $0.11 per share, showing a 147.83% increase from the year-ago figure [5] - The trend for the current year is positive, with one estimate moving higher and no negative revisions, resulting in a 40.63% increase in the consensus estimate [5] Zacks Rank - Coeur Mining has achieved a Zacks Rank 2 (Buy), indicating favorable estimate revisions that can guide investment decisions [6] - Research indicates that stocks with Zacks Rank 1 (Strong Buy) and 2 (Buy) tend to outperform the S&P 500 [6] Market Performance - Coeur Mining shares have increased by 15.9% over the past four weeks, suggesting investor confidence in the company's earnings growth prospects [7]

Core Viewpoint - Coeur Mining, Inc. has signed a definitive agreement to acquire SilverCrest Metals Inc., aiming to create a leading global silver company with projected silver production of 21 million ounces by 2025 [1]. Deal Details - SilverCrest stockholders will receive 1.6022 Coeur common shares per share, valuing the transaction at $1.7 billion based on Coeur's closing price of $11.34 on October 3, 2024 [2]. - Post-transaction, Coeur investors will own 63% and SilverCrest shareholders will own 37% of the combined firm [2]. - SilverCrest's CEO and another director will join Coeur's board, enhancing the board's expertise [2]. Benefits of the Acquisition - The acquisition includes SilverCrest's Las Chispas underground mine, which is expected to improve Coeur's cost and margin profile [3]. - The combined company is projected to generate approximately $700 million in EBITDA and $350 million in free cash flow in 2025 [3]. - Coeur will become a significant global silver player, with 40% of revenues derived from silver and an expected production of 432,000 ounces of gold by 2025 [4]. Financial Position - SilverCrest has a debt-free balance sheet with $122 million in treasury assets, which will aid in Coeur's debt reduction, leading to a 40% immediate decrease in Coeur's leverage ratio upon closing [5]. Recent Performance - Coeur reported a second-quarter 2024 loss of 1 cent per share, which is an improvement compared to a loss of 6 cents per share in the same quarter of 2023 [6]. - The company generated revenues of $222 million in Q2 2024, which was below the consensus estimate of $236 million but an increase from $177 million in the previous year [6]. - Coeur's share price has increased by 182.3% over the past year, outperforming the industry growth of 49.1% [7].

Industry Overview - The Zacks Mining - Non Ferrous industry is facing challenges due to weak demand in China, which is impacting metal prices, alongside inflated costs, labor shortages, and supply-chain issues [1][4][5] - Despite these challenges, the demand for non-ferrous metals is expected to be supported by the energy-transition trend, which could buoy the industry in the long run [1][6] Current Market Conditions - Copper prices have been negatively affected by weak demand in China, although recent stimulus measures may provide some support [4] - Uranium prices are currently around $79 per pound, the lowest since November 2023, but a 12% year-over-year improvement in production guidance from Kazatomprom indicates sufficient supply in the near term [4] - Gold prices are near record highs of $2,660 per ounce, driven by geopolitical tensions and central bank purchases, while silver prices have also risen but may face demand challenges due to manufacturing sector contraction [4] Labor and Cost Challenges - The industry is experiencing a shortage of skilled labor, leading to increased wages and potential production disruptions [5] - Escalating production costs, including electricity, water, materials, and freight expenses, are significant concerns for industry players [5] Future Demand Drivers - The demand for non-ferrous metals is expected to remain high due to their essential roles in transportation, electricity, construction, telecommunications, and renewable energy [6] - The push for electric vehicles and infrastructure upgrades under the U.S. Infrastructure Investment and Jobs Act will further drive demand for metals like copper and nickel [6] Industry Performance - The Zacks Mining - Non Ferrous industry has outperformed both the Zacks Basic Materials sector and the S&P 500 over the past 12 months, with a collective gain of 43.5% compared to 11.6% and 33.9% respectively [9] - The industry currently trades at a forward 12-month EV/EBITDA ratio of 7.80X, lower than the S&P 500's 14.45X and the Basic Materials sector's 6.58X [10] Notable Companies - **Centrus Energy**: Recently secured a $1.8 billion contingent supply agreement for low-enriched uranium and began production of High-Assay Low-Enriched Uranium at its new plant [10][11] - **Freeport-McMoRan**: Focused on expanding reserves and improving production efficiency, with significant copper production expected from its operations in North and South America [12][13] - **Lundin Mining**: Increased its stake in the Caserones copper mine, adding 25,000 tons of copper to its production profile, and is involved in joint ventures to progress major projects [15][16] - **Coeur Mining**: Achieved operational milestones at its Rochester mine, with production targets of 4.8-6.6 million ounces of silver and 37,000-50,000 ounces of gold [17][18] - **Ero Copper**: Successfully produced its first saleable copper concentrate at the Tucumã Project, with plans to double copper production by 2025 [19][20]

Core Insights - Coeur Mining, Inc. has provided an operational update indicating positive developments at the Rochester silver-gold mine, including increased throughput and progress in reducing crushing size, which sets the stage for a strong second-half performance [1][2] Operational Update - The new three-stage crushing circuit at Rochester has significantly increased flexibility, with nearly 2.7 million tons placed on the new Stage VI leach pad in August 2024, representing a 39% increase from the previous month [2] - The three-stage crusher is fully operational, with a focus now on optimizing particle sizing for the second half of the year, exceeding initial expectations [3] Production Outlook - Rochester is on track to meet its full-year production targets of 4.8-6.6 million ounces of silver and 37,000-50,000 ounces of gold, with ongoing efforts to refine material crush size for optimal recovery rates into 2025 [4] Exploration Potential - Recent exploration activities within the current mining footprint are expected to enhance the grade potential of Rochester's mine plan, contributing to long-term success [5] Financial Performance - Coeur Mining reported a second-quarter 2024 loss of 1 cent per share, which is an improvement compared to the Zacks Consensus Estimate of a loss of 2 cents and a loss of 6 cents in Q2 2023 [6] - The company generated revenues of $222 million for the quarter ended June 2024, falling short of the Zacks Consensus Estimate of $236 million, but showing an increase from $177 million in the same quarter last year [6] Share Price Performance - Coeur Mining's shares have increased by 208.5% over the past year, significantly outperforming the industry average growth of 14.3% [7]

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About this content About Angela Harmantas Angela Harmantas is an Editor at Proactive. She has over 15 years of experience covering the equity markets in North America, with a particular focus on junior resource stocks. Angela has reported from numerous countries around the world, including Canada, the US, Australia, Brazil, Ghana, and South Africa for leading trade publications. Previously, she worked in investor relations and led the foreign direct investment program in Canada for the Swedish government. S ...

Financial Data and Key Metrics Changes - Coeur Mining reported a significant increase in quarterly adjusted EBITDA, which jumped 136% year-over-year, while the last twelve months (LTM) adjusted EBITDA increased 90% to $192 million [3][11] - The company ended the quarter with approximately $275 million drawn on its $400 million revolving credit facility, with net debt to EBITDA ratios improving to below three times for the first time in over two years [14] Business Line Data and Key Metrics Changes - Rochester's silver production increased to 973,000 ounces and gold production to over 8,000 ounces, both driven by enhanced crushing and placement operations [7] - Palmarejo continued to perform well, delivering about 25,000 meters of gold and nearly 1.6 million ounces of silver [8] - Kensington is expected to reach a free cash flow inflection point in the second half of next year, with significant improvements in operational metrics [4][9] - Wharf's gold production increased to 22,000 ounces, with adjusted cash costs decreasing by 29% to $822 per ounce [10] Market Data and Key Metrics Changes - Commodity prices in the second quarter were approximately 10% higher year-over-year, contributing to the improved financial performance [3] Company Strategy and Development Direction - The company aims to transition to positive free cash flow in the second half of the year, supported by the ramp-up of Rochester and stable operations across its U.S.-centric mines [2][5] - Coeur Mining is focusing on aggressive debt reduction following the anticipated increase in free cash flow [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to achieve production guidance for 2024 across all operations, with a focus on optimizing operations and maximizing recoveries [11][12] - The acquisition of key concessions from Fresnillo is expected to provide new opportunities for higher-margin mine life extensions at Palmarejo [4][15] Other Important Information - The company is undertaking a significant thermal program at Silvertip, which includes various exploration strategies to identify larger ore bodies [17] - The Kensington multiyear program is progressing well, with ongoing exploration expected to enhance mine life [17] Q&A Session Summary Question: Can you provide more details on the cost guidance adjustment for Rochester? - Management explained that the adjustment was due to the timing of ounces placed on Stage VI, with no significant changes to the underlying inputs [19][20] Question: When can we expect to pull the first ounce from the newly acquired land near Palmarejo? - The first drilling is expected in early 2025, with potential ounces coming from the area around 2026 [22][24] Question: What is the company's long-term debt repayment strategy? - The company aims for a total debt-to-EBITDA ratio of one time and net debt to EBITDA of zero, with a focus on repaying the revolver as cash flow increases [25] Question: How is the Rochester crushing circuit performing? - The crushing circuit is performing well, with consistent throughput and expectations to achieve 7 million to 8 million tonnes per quarter for the remainder of the year [26][27]

2024 Second Quarter Earnings NYSE: CDE 1 JC 2016 11:00 a.m. ET, August 8, 2024 NYSE: CDE Cautionary Statements JC 2016 This presentation contains forward-looking statements within the meaning of securities legislation in the United States and Canada, including statements involving strategic priorities and company strategies, growth, anticipated production, costs and expenses, exploration and development efforts, operations, expectations and initiatives at Palmarejo, Rochester, Kensington, Wharf and Silverti ...

NEWS RELEASE Coeur Reports Second Quarter 2024 Results Ramp-up of Rochester Operation Complete; Maintaining 2024 Production Guidance Ranges Chicago, Illinois - August 7, 2024 - Coeur Mining, Inc. ("Coeur" or the "Company") (NYSE: CDE) today reported second quarter 2024 financial results, including revenue of $222 million and cash flow from operating activities of $15 million. The Company reported GAAP net income from continuing operations of $1 million, or $0.00 per share. On an adjusted basis , Coeur repor ...